DEVELOPPEMENT FINANCIER ET INEGALITE: CAS DES PAYS EN DEVELOPPEMENT

Abstract

This work aims to analyze the relation ship between financial development and income inequality. Through the Principal Component Analysis (CPA) approach, we developed a composite index that takes into account the access, depth and efficiency of the financial system. The estimation result sover the period2006- 2016 for 32 developing countries, show a negative among financial development and income inequality, with other variables such as income level, remittances as well as diversification of the economic structure. On the other hand, foreign direct investment combined with other interactions variables have a positive impact.

Keywords

• financial development, gini index, principal component analysis, developing countries. jel classification : c33, g15, d63, c38.